White-label ETF issuers HANetf and Tidal Financial Group have partnered to promote each other’s services across Europe and the US, ETF Stream can reveal.
Under the agreement, Tidal will promote HANetf’s white-label offering for UCITS ETFs, exchange-traded commodities (ETCs) and exchange-traded notes (ETNs) in Europe to its US client base.
In return, HANetf will promote Tidal’s white-label service for issuing ’40-Act’ and ’33-Act’ ETFs in the US to its European clients and network.
The partnership offers asset managers an integrated route to launch their IP in white-label vehicles on both sides of the Atlantic, enabling them to capitalise on client needs, tax considerations and time zones in different jurisdictions.
The two white-label platforms boast a combined total of 163 exchange-traded product (ETP) launches and cumulatively house more than $12bn assets under management (AUM).
Hector McNeil, co-founder and co-CEO of HANetf, commented: "We are very proud to announce our agreement to work with Tidal in order to offer US ETF white-label capability to our clients.
“Clients will be able to either supplement their UCITS ETF offering with ’40-Act’ ETFs or if they have not entered the ETF market will be able to offer both wrappers to allow simultaneous launch in both of the world’s leading ETF markets in one fell swoop.”
Mike Venuto, co-founder and CIO of Tidal, added: “Over the past few years, we have participated in the growth of European ETFs as a sub-adviser to HANetf clients. With this partnership, we are now able to connect our US based customers with our counterparts in Europe.”
The partnership follows news the two firms considered expanding their white-label ETF offering to have a footprint in each other’s markets.
McNeil told ETF Stream in July 2021 an ETF issuer needs both UCITS and ’40-Act’ ETFs to provide full coverage to a global client base.
Telmo Rueda, director of EMEA at Tidal, told ETF Stream last November his team was looking at Europe “with interest” and was “not ruling out white-labelling in Europe”.